Rising Fear of Layoffs Among Senior Tech Professionals
About 90% of high-earning tech professionals in India fear losing their jobs.
This anxiety intensified after major layoffs like Microsoft's in May 2025.
A global survey found that 47% of professionals believe they may lose their jobs within a year.
Why the Layoffs Are Happening
Over 1,05,000 tech jobs were cut globally in 2025, with 20% of those in India.
Companies like Meta, Amazon, and Microsoft have significantly downsized, including in India.
The rise of AI and automation is causing structural changes in the industry.
Big companies are cutting IT budgets and demanding more work for less cost.
Generative AI tools like ChatGPT and DeepSeek are disrupting the need for large tech teams.
Who Is Most Affected
Senior managers and mid-level managers (“bulging middle”) are most vulnerable.
Many Indian firms lack depth in AI consulting and rely too heavily on low-cost talent.
Global clients now prefer niche AI firms over traditional Indian service providers.
Despite past growth in hiring, automation may soon lead to job cuts at upper levels.
Broader Economic Impact
India’s tech sector contributes over $283 billion to the GDP, mostly through exports.
Layoffs could affect consumer spending on homes, vehicles, travel, and luxury goods.
Loan approvals may get stricter, hurting real estate and automobile sales.
Nasscom still expects the industry to grow, aiming for $300 billion in FY26 and $1 trillion by 2030.
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